How project management can improve delivery and tackle inefficiency
Real Estate

How project management can improve delivery and tackle inefficiency

It’s not just India; construction is globally known to be ineffective. Reports from McKinsey, Autodesk and FMI indicate several parameters for this global inefficiency, leading to a high percentage of cost and time overruns. Only 25 per cent of global projects are completed within deadline and as few as 31 per cent are completed within budget. The deficiency in India is surely larger, on account of construction costs being among the lowest in the world.

Here are the top five reasons for this global inefficiency in construction:
1. Bad data: Leading to 16.5 per cent higher capital costs
2. Investment in technology: (-ve) 55 per cent compared to other sectors
3. Resource productivity: (-ve) 23 per cent compared to 1990
4. Subcontractor centricity: Delivers 80 per cent of construction value
5. Onsite fabrication: Contributes to over 99 per cent of the value delivered.

To add to this, material costs have been volatile, with 62 per cent of inflation (since 2000) contributed by construction and mining.

Building information modelling (BIM) is globally pegged to improve project delivery. Its implementation, however, is stunted owing to lack of widespread understanding. At Clancy Global, we have successfully implemented the BIM framework to deliver projects faster and cheaper.

Further, this article elaborates upon the four nodes that have enabled successful implementation of the BIM framework.

To read the full version, CLICK HERE.

It’s not just India; construction is globally known to be ineffective. Reports from McKinsey, Autodesk and FMI indicate several parameters for this global inefficiency, leading to a high percentage of cost and time overruns. Only 25 per cent of global projects are completed within deadline and as few as 31 per cent are completed within budget. The deficiency in India is surely larger, on account of construction costs being among the lowest in the world. Here are the top five reasons for this global inefficiency in construction: 1. Bad data: Leading to 16.5 per cent higher capital costs 2. Investment in technology: (-ve) 55 per cent compared to other sectors 3. Resource productivity: (-ve) 23 per cent compared to 1990 4. Subcontractor centricity: Delivers 80 per cent of construction value 5. Onsite fabrication: Contributes to over 99 per cent of the value delivered. To add to this, material costs have been volatile, with 62 per cent of inflation (since 2000) contributed by construction and mining. Building information modelling (BIM) is globally pegged to improve project delivery. Its implementation, however, is stunted owing to lack of widespread understanding. At Clancy Global, we have successfully implemented the BIM framework to deliver projects faster and cheaper. Further, this article elaborates upon the four nodes that have enabled successful implementation of the BIM framework.To read the full version, CLICK HERE.

Next Story
Infrastructure Urban

Implementation Status of Jal Jeevan Mission

Since August 2019 the Government has implemented Jal Jeevan Mission to provide assured potable water through household tap connections in rural India. At the start of the mission only 32.3 million (mn) rural households, representing 16.7 per cent, were reported to have tap water connections. States and union territories have reported that 125.8 mn additional rural households have since been provided with tap connections. As a result, of about 193.6 mn rural households roughly 158.2 mn, or 81.71 per cent, are reported to have tap water supply at home.\n\nThe State, district and village level st..

Next Story
Infrastructure Urban

Jal Jeevan Mission Reaches Eighty One Per Cent Rural Coverage

The Government reported substantial progress under the Jal Jeevan Mission, launched in August 2019 to provide tap water to every rural household. At launch only 32.3 million (mn) rural households had tap connections and states and Union territories reported provision of 125.8 mn additional households by March 2026. Consequently, out of about 193.6 mn rural households around 158.2 mn, or 81.71 per cent, are reported to have tap water at home. The Finance Minister announced extension of the mission until 2028 in the 2025-26 budget speech. The Swachh Bharat Mission Grameen, launched in October 20..

Next Story
Infrastructure Urban

Empowering Local Governance for Sustainable Rural Water Supply

The Ministry of Jal Shakti has aligned the Jal Jeevan Mission (JJM) with the 73rd Amendment to strengthen village level planning and community ownership of water supply. Gram Panchayats, village water and sanitation committees and Pani Samitis are to plan, implement, manage and maintain piped water systems, with gram sabha processes formalising handover and oversight. Implementation support agencies including non government organisations, community based organisations and self help groups have been empanelled to train local committees and promote women participation. Under JJM, the department ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement